Forex Trading Myths (and honest answers)

1. Some of these myths can be very costly for new currency traders. In recent years, forex trading has grown in popularity due to the increasing popularity of online stock trading. cryptocurrency 1099 Along with the popularity of online trading comes the hype, myths and sometimes, outright lies. The most common Forex myths are listed below: Forex trading is easy. The truth first. It is easy to start Forex trading and it is easy to buy and sell currencies online. Making money and succeeding is not easy. Education, time and practice are required. Of course, there are talented traders that learn very fast, but generally speaking, starting traders should dedicate part of their time to educating themselves, practicing and developing strategies. Forex is gambling. This is a myth and is often heard about all forms of trading; whether it's stocks, bonds, futures, options etc. Forex is macroeconomics in its purest form. It's even more pure than other forms of trading, as it deals with the performance, structure and behavior of regional or national economies and their interrelationships. If this was true, all national economists, advisors and consultants, as well as students, would be the best gamblers in the world. Rather we are all students of economics, technical analysis, fundamental analysis and psychology. Forex is a fraud. Forex received some bad press when High Yielding Investment Programs began to claim they made money with Forex. Recently, a New York firm was closed down for defrauding investors of millions and an internet trading website was dismantled. It's a good thing that prison sentences have been handed out for discrediting a law-abiding, legitimate and regulated industry. Actually Forex is a real currency market where anyone can trade for themselves and be responsible for their own decisions, so it's hardly a scam. The only scams you should be afraid of as a Forex trader are scamming brokers and marketers that sell Forex books, sure-fire strategies, trading systems, guaranteed returns or the usual "to good to be true" devices. Only the wealthy can trade Forex. This was the truth. Now with the fast development of high bandwidth in the common Internet connection, coupled with the financial backing of the largest financial institutions in the world, Forex is now open to everyone. You can start trading with just $1. Forex is completely random. The short-term fluctuations in the Forex market can appear random and spontaneous, but this is a myth. There must be a counter-trade to the one you ordered. It is not random. The long-term movements of currency pairs is not random. It is possible to predict, control and influence global, regional, and national economies.